Government acquisition of SalamAir supports competition and sector sustainability

Muscat: The government’s acquisition of SalamAir is aimed at strengthening competitiveness and ensuring long-term sustainability in Oman’s aviation sector, according to an official statement addressing recent media discussions.

The statement clarified that both Oman Air and SalamAir will continue to operate as independent entities with separate management, finances and operational strategies. This structure is intended to preserve fair competition within the aviation market in the Sultanate of Oman.

The move is part of a broader strategic approach to reorganise and strengthen the aviation sector, creating a healthier competitive environment that enhances operational efficiency and supports sustainable growth both locally and internationally.

Authorities emphasised that aviation companies in Oman operate under strict regulatory oversight to ensure fair competition, customer service standards and passenger protection.

The statement noted that both Oman Air and SalamAir have faced strong competition on similar routes from regional carriers, leading to financial pressures. The government’s intervention is therefore aimed at improving SalamAir’s operational performance while maintaining it as a competitive low-cost carrier.

It added that separating route networks between the two airlines would help expand national connectivity, increase destinations and passenger traffic, and support broader economic goals including tourism.

The aviation sector in Oman continues to face competition from large regional and international airlines. The government’s restructuring efforts are expected to enhance sector growth, improve sustainability and enable the market to accommodate more operators in the future.

The acquisition is also expected to strengthen integration between local airlines, boost regional competitiveness and reinforce Oman’s position as an aviation hub.